please use and show formulas on a scinetific calculator semi annual Problem...
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please use and show formulas on a scinetific calculator
semi annual
Problem 4: (50 pts) Fred and Barney need some investment advice and have asked you to evaluate their offers Fred is looking at an investment that would pay him nothing until five years from today and then he would receive $40,000.every six months for.ten years (20 payments) with the first payment coming five years from today. He then would receive $100,000 every year for ten years with the first of these coming sik months after the last payment of $40,000. Finally he would receive two payments of $500,000 with the first coming sik months after the last $100,000 and the second coming five years aft the first payment of $500,000. The Investment would cost him $725,000 today. aamey's investment would pay him $25,000 every year focthirty years with the first of these coming months from today. He would also receive $120,000 every five years for the next fifty years with the first coming five years from today and the last coming fifty years from today. Finally he would receive $2,500,000 forty years from today and another $2,500,000 fifty years from today. His investment wo cost him $690,000 today. using present value and assuming they have an opportunity cost of 8% (semi-annual), should they Invest? Show all work
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